16 Jun 2011
HALLMARK CARDS INCORPORATED v. YUN CHOY LTD (In Compulsory Liquidation) AND ANOTHER
- Citation
- HALLMARK CARDS INCORPORATED v. YUN CHOY LTD (In Compulsory Liquidation) AND ANOTHER
- Court
- Court of First Instance
- Case number
- HCMP1330/2009
The RPA was an out-and-out sale of receivables (whole turnover deed) as expressed by its terms; commercial features argued by liquidators (recourse, discounting charges, rights to require repurchase, rejection of debts, accounting adjustments) are compatible with sale and do not convert the transaction into a registrable fixed charge. Future debts vested in the bank on coming into existence under the agreement so no separate consideration or separate registration issue defeated the bank's title, and section 48 Bankruptcy Ordinance does not apply via section 264 Companies Ordinance to defeat t…